[1] Which stocks to buy in a bear market?
A bull market makes money, a bear market makes money. For investors who are stuck at a high level, they can make different choices depending on the weight of their positions. If it is full, you can only wait for your stock to rebound. If it is a half position, you can take the method of covering the position at a low level to spread the cost. In addition, you can also use a part of the funds to choose some subject stocks, Zhuang stocks, fast forward and fast exit to earn the difference. However, if there is a certain risk in making a price difference in a bear market, investors must have certain skills.
In addition, in a bear market, you should pay attention to low-level swaps. It is best to replace bad stocks with potential stocks. Although there will be losses temporarily, once the stock market reverses, potential stocks can bring more lucrative returns. Often much better than holding stocks with poor quality and little upside.
As for how to choose stocks in a bear market, we must follow oversold blue chip stocks, short-term hot concept stocks, and oversold new stocks.
1. Hot concept stocks:
Conceptual hotspots
You need to grasp the news in all aspects and make a reasonable interpretation to judge whether it is suitable for speculation! If such stocks suddenly become strong during the period of market volatility, it is a good opportunity to intervene.
Plate hot spots
This kind of hot spot moves with the broader market, and it is necessary to have an accurate judgment on the trend of the broader market.
2. Oversold blue chip stocks:
At the end of a bear market, or the stage of transition to a bull market, investors should pay attention to fundamental factors such as whether individual stocks perform well and whether they have growth potential when selecting stocks. For the performance support, in the just-announced mid-year report has a good distribution plan to focus on individual stocks.
3. Oversold new shares:
In a bear market, the funds that may be sought after the listing of new shares will be significantly less than in a bull market, so the space for stocks to rise will be limited. After the continuous rise, the stock then entered a volatile and falling market, but the funds in the market found that after the stock price was already very low, they would continue to increase their weight and conduct short-term stock speculation.
There are many stock selection methods with a high success rate. Not all stocks are suitable for investment in a bear market. In this case, there are three types of stocks that are most suitable, namely oversold blue chip stocks, short-term hot concept stocks and oversold new stocks. Investors need to hold onto these types of stocks.
[2] What are the bear market stock picking techniques?
1. Properly short positions
In a bear market, many investors’ stocks fall, especially in the first and third periods of a bear market. Like the end of the world. Although there will be a rebound in the second period of the bear market, the next big decline will be the third period of the bear market. If the average investor buys stocks in the second period of the bear market, but does not sell in the third period of the bear market, the opportunity for investment loss is extremely great. Therefore, investing in stocks in a bear market should be based on short positions, especially in the first and third periods of the bear market.
2. It should be mainly short-term
As we all know, a bear market is a big drop. Even if there will be some rebound in the second phase of the bear market, the overall stock trend is still in a downward trend. Since it is in a downtrend, it is not wise to make long-term investments. Therefore, in a bear market, it should be mainly short-term. 3. Do a good job of dual-line investment
Regarding how to invest in stocks in a bear market, and how to trade stocks in a bear market, you must know how to buy and how to sell. During a bull market, you can buy cheap and sell high to make money. During a bear market, you can also sell at a high price and buy at a low price. Investment must be two-line, as long as you know two lines, know how to buy when the price is low, sell when the price is higher, and know how to sell when the price is high.
3. Establish a policy of getting rich
Some investors will say that in a bear market it’s good to just earn a reasonable return. Don’t think about making a fortune. In fact, as long as you use appropriate investment methods, you can also make big money in a bear market.
4. Invest cautiously in a bear market
You must be careful when picking stocks in a bear market. Don’t look at the temporary stock ups and downs, choose stocks with more capital investment and excellent performance to be invincible. Don’t put all your money in the stock market, just put one-tenth of your savings. It’s less dangerous that way. Other money can be invested in other occupations.
